🥳Want to Get Somewhat “Free Money” like Buffet💵💵⁉️
Hello fellow 🐯🐯🐯, today I’m excited to share about a topic that I’ve been researching in the AUS & US stock markets for several months now-Buying Stocks Based on Company Buyouts/Mergers.
After Powell’s speech & the market sell-offs, I think we all need something happy/optimistic for us to look forward to😅 & I hope this post will help🤓😃
🤔💭How Can We Get Somewhat “Free” Money like Warren Buffet💵💵💵⁉️
⭐️⭐️⭐️ The strategy is simple: Buy stocks that has a company buyout/merger offer (with strong fundamentals of course), wait for the deal to close & 🥳 pocket the difference between the offer price & its current stock price‼️
⭐️ With the market sell-offs, it might just be the right time to buy some of these stocks if they’re going at a great price😉
⭐️ Instead of looking at our red portfolio & get all emotional, or *buying the dip to average down our cost price for our stocks steeped in BIG losses*, sometimes buying a stock that has great potential to succeed will yield better results & help lessen our losses overall🤓 I’ve had some success doing this & will share about my experience when I have time to post about it😉
*📝Note: Buying the dip to average down our cost price is an excellent strategy for stocks that pays high dividends on a consistent basis. I use this strategy to increase the % of my dividend yield too & I’m not referring to these stocks🤓*
🤔💭Which US Companies have a Pending Buyout/Merger Offer❓
Microsoft (MSFT) announced a buyout offer in January 2022 for Activision Blizzard $Activision Blizzard(ATVI)$valuing its shares at around $95 per share. The buyout offer is still awaiting approval but buying ATVI shares for any value below $95 is so called "Free Money". The current price is $78.63 so you stand to gain 20.8%🥳🥳🥳 Even Buffett is looking for easy gains with the S&P 500 down this year. Buffet’s Berkshire Hathaway (BRKB) is the number 1 holder of this stock with 8.7% of the shares outstanding.
Another company that is the subject of a takeover is VMware $VMware(VMW)$Broadcom (AVGO) is offering $142.50 and VMW is currently trading at $118.71, a possible gain of around 20%‼️VMW shareholders will elect to receive either $142.50 in cash or 0.2520 shares of Broadcom common stock for each VMware share.
Other companies pending takeover bids include HP (HPE) bidding for Plantronics $Plantronics Inc.(POLY)$;Google (GOOGL, GOOG) buying Mandiant $Mandiant(MNDT)$;& Amazon (AMZN) buying 1life Healthcare (ONEM).
⚠️Risks Alert: (1) Buyout/Merger offers may fall through or go through rounds of negotiations.
(2) Takeover bids may end up in court e.g. Twitter.
⭐️ If you’re interested to get this “Free Money”, be sure to do your own research on past buyout/merger offers to understand the risks & possible gains!
If The Great Value Investor Warren Buffet is looking for “Free” Money, maybe we should consider it too🧐🤔??? Please help to click on the “Like” & “Share/Repost” button so that more 🐯🐯🐯 can access this information & we can all accumulate wealth together during this market sell-off😉🥳 Many thanks🤗
My posts are for knowledge sharing purposes (not investment advice), so please DYODD on top of reading my posts & never invest money you can’t afford to lose🤓
As usual-🤔💭 Consider POV & Actions of investors + 👩🏻💻👨🏻💻 Research + 🗑FOMO & Greed = Investing Wisely 🤓🤗 + Accumulating Wealth 💵💰
Source websites: investors.com, S&P Global Market Intelligence, & IQ Merger Arbitrage
@Daily_Discussion(29/8) @TigerStars@CaptainTiger@MillionaireTiger
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
1st point: buying a company ready for merger or buy out. does not always work. it works only when the deal is announced. and the share price rockets. but later after some time the buyer walks off the deal. the price plummets. similar to Caltex! now ampol. canadian company wanted to buy, but the walked off.and others wich i cant remember.
Interested in free money? Read this!